Closure of Chatree Gold Mine

Kingsgate Consolidated’s (ASX:KCN) (“Kingsgate” or the “Company”) Thai controlled subsidiary, Akara Resources Public Company Limited (“Akara”), ceased production at the Chatree Gold Mine on 31 December 2016, in compliance with the requirements of the Thai Government. Akara is proceeding with rehabilitation of the site.

The Company has noted recent press reports of comments by the Prime Minister of Thailand that the Company should not sue the Government over the closure. The Company has been unable to verify these reports, and has had no contact from the Government with respect to their contents.

The meeting proposed by the Deputy Prime Minister of Thailand did not proceed, and the Company has written to the Prime Minister seeking a meeting in early January.

Kingsgate continues to pursue remedies for the premature closure of the Chatree Gold Mine.